While the attraction of investing in Saudi Arabia is undeniable, the reality is a bit more complex. While foreigners can invest in all aspects of the Saudi economy, the reality is much more complex. The Kingdom ranks 92nd in the 2019 World Bank’s Doing Business ranking, making it a challenging destination for foreign investors. As a result, there are still great business investment opportunities in Saudi Arabia for investors.
Stock exchange of Saudi Arabia
If you’re looking for a new investment opportunity, the Stock exchange of Saudi Arabia may be just the ticket. Founded in 1999, the TASI has a high rate of returns and has proven to be an excellent choice for many investors. Its value has grown significantly in the past decade, and it is now the largest stock market in the Middle East. Investment opportunities are plentiful on the TASI, which has nearly 316 million shares traded daily. Moreover, the Tadawul index has a high liquidity factor, and it is the base for derivatives and exchange-traded financial products.
In Saudi Arabia, real estate is the safest and most profitable investment option for both individuals and institutional investors. The Saudi government allows non-Saudis to invest in real estate funds and purchase properties as their primary residence. Non-Saudis can also invest in real estate in Makkah and Madinah. Foreign investors can obtain a license to operate in Saudi Arabia from the Ministry of Foreign Affairs.
While some experts disagree on which areas are the safest, the best investments in Riyadh are in prime locations. However, real estate in Saudi Arabia can be extremely profitable, even if you don’t pay full price for the property. You can invest with less than 20% of the property’s value and still get 100% of the profit. The benefits of investing in real estate in Saudi Arabia are many.
Middle East ETFs
If you are looking for an index fund that invests in Saudi Arabia stocks, you can try the Wisdom Tree Middle East Dividend Fund. It invests in companies that pay regular cash dividends and incorporates foreign ownership limits. The fund also invests in the financial sector, giving you diversified exposure to oil-producing nations in the region. The fund’s biggest exposure is to the top three firms, which account for more than 23% of the ETF.